Effective leadership involves more than developing and communicating the right strategic vision for the company. To encourage employees …
Governance
Transfer Pricing and the Control of Internal Corporate Transactions
One potential weakness of all divisional profitability schemes is their inability to capture synergies among business units. One …
The Economics of Organizational Architecture
Drawing on the work of Michael Jensen and William Meckling, the co-formulators of “agency cost theory,” the authors …
The Capital Structure Puzzle: Another Look at the Evidence
Since the formulation of the Miller and Modigliani propositions over 60 years ago, financial economists have been debating …
University of Rochester Roundtable on Bailout vs. Bankruptcy: The Case...
In an event staged at Rochester’s Geva Theatre in the midst of the global financial crisis in 2009, …
Risk and Regulation in Derivatives (or Why Derivatives Are a...
In this article, first published in 1994, the authors aimed to defuse the widespread hysteria about derivatives fueled …
University of Georgia Roundtable on Enterprise-Wide Risk Management
For many years, MBA students were taught that there was no good reason for companies that hedge large …
Economics and Ethics: The Case of Salomon Brothers
The author draws two main lessons from the Treasury bond bidding scandal at Salomon Brothers that took place …
Two Modes of Investment Banking: Technocrats, Relationship Managers, and Conflict
Efficient capital allocation in a market economy depends on the exchange of reliable information between providers of capital …
Corporate Governance “Counter-Narratives”: On Corporate Purpose and Shareholder Value(s) V
Session V: Macro Perspectives: Bigger Problems than Corporate Governance Columbia Business School’s well-known authority on value-based investing begins …